In an effort to enhance security and streamline access to government services, the Department of Labor (DOL) has made a significant change to the way retirement plan sponsors access their accounts. They are phasing out the old EFAST2-issued User ID and password and transitioning to a unified system called Login.gov. This change impacts anyone who needs to sign and submit their 2023 Form 5500 series, and it’s crucial to stay informed to avoid potential filing problems or delays.
What’s the New Timeline?
The DOL has extended the grace period for obtaining new Login.gov credentials until December 31, 2023. This means you have more time to make the transition, but it’s essential not to delay, as these new credentials are now required for various government services, including managing retirement plans.
Why the Change?
The shift to Login.gov is part of a broader effort to enhance security and simplify access to government services. This unified platform allows users to securely log in to multiple government websites and services using the same username and password, making it more convenient and secure.
Potential Issues and Concerns
We are concerned that some clients may have missed prior communication from the DOL regarding this requirement. Failing to transition to the new Login.gov credentials could lead to problems or delays when filing your 2023 Form 5500 series.
We Can Help
At Rea, we understand that staying updated on these changes can be challenging, and we want to ensure our clients are well-informed. If you use Rea as your Third Party Administrator (TPA) and have questions about why these new login credentials are necessary or need assistance with the transition, please reach out to us. We’re here to provide additional explanations and support to ensure a smooth transition to Login.gov. (If you use another TPA for your plan, please contact your TPA or plan record keeper for assistance.)
Stay Informed
For more detailed information about the reasons behind this change and its implications, we recommend reading the notice from ASPPA. You can read the official announcement from DOL, here.
The DOL’s extension of the grace period for obtaining new Login.gov credentials is a significant development for retirement plan sponsors. We encourage all our clients to take this change seriously and reach out to us for any assistance or clarification. Staying ahead of these changes will help ensure the seamless filing of your 2023 Form 5500 series and secure access to government services.